After deteriorating car industry, the prevailing economic disaster is embarked on preying local bike sector in the country. Following back-to-back price jumps even two-wheelers are getting out of public reach. Resultantly, motorcycle makers are observing low sales which in turn has nudged the manufacturers to come up with offers increasing footfall at their deserted dealerships.
The Plan
In a recent development, Pakistan Suzuki Motor Company (PSMC) followed the footprints of Honda and Yamaha. The company has announced a 0% markup installment plan for its bikes. Mind you, the said plan is not for GSX 125 and only Bank Alfalah card holders can avail this offer.
Here the details:
Where Yamaha and Honda offer a 9-month 0% markup plan, PSMC’s plans extends up to 18 months. The company gave a better plan than its competitors. Furthermore, Suzuki also proffers in-house installment plan that anyone can avail regardless of their bank affiliation. The recent plan makes no point when PSMC is already a better scheme.
This move emphasizes Suzuki’s attempt to attract customer interest through their ongoing installment plan. However, the effectiveness of this plan remains uncertain due to the regular interruptions in production.
Dwindling Sales & Production Shutdown
In accordance with the latest findings by the Pakistan Automotive Manufacturer’s Association (PAMA), Pak Suzuki experienced a 29.1% decline in motorcycle sales last month, selling a total of 820 units.
Moreover, the company has recently declared a second round of non-production days (NPDs) for its motorcycle manufacturing facility this month. In an official communication to the Pakistan Stock Exchange (PSX), Suzuki announced the temporary closure of its car and bike assembly plant from June 22 to July 8, 2023, attributing the decision to insufficient inventory levels.
The company’s poor sales, coupled with price hikes, tax rate increases, and import restrictions, have created a challenging environment for the entire auto industry. Adding to their woes, Suzuki recently had to suspend motorcycle assembly for five days due to a lack of inventory. In light of these difficulties, Suzuki reached out directly to the interim Prime Minister, Shahbaz Sharif, to shed light on the abysmal situation in the car industry.
What do you think about the Suzuki’s recent offer? Would you avail the plan? Drop your thoughts in the comments section.
